Enviva Biomass, a leading wood pellet manufacturer, will close its plant in Amory, MS. The story was first reported in the Monroe Journal on February 4th. This foreshadows a new strategy that means trouble for communities and forests.

At the end of 2023, Enviva Biomass declared bankruptcy. The company’s downfall came from several issues. This included poor investments, a smaller market, and less government support. This was mostly due to growing public opposition. Our investigations exposed Enviva’s unsustainable logging practices. Lawsuits forced the company to upgrade its almost non-existent pollution controls. Investors realized that the biomass industry isn’t clean or green. This realization drove them away.

Enviva subsidies

In Mississippi, Enviva received millions in subsidies. They have also said they are unlikely to build a permitted facility in Bond, MS. The Mississippi Development Authority gave the company $4 million. This money is for a water tank, well, and other infrastructure in Lucedale. George County provided $13 million in tax breaks. The Gulf Coast Restoration Fund added almost $2.5 million for road and rail improvements.

The company recently re-emerged from bankruptcy as a completely different entity. It is no longer on the stock market. Now, private investors own it. Now there is no accountability to the public. What happened in Amory can happen in any community where Enviva operates. This is true in Mississippi and across the South. The company can cut and run.

What happens next?

To recover their investments, Enviva may have to:

• unsustainably log more trees and destroy forests
• cut back or eliminate pollution controls
• increase noise pollution and truck traffic
• reduce workers’ protections and increase hours

These cost-cutting choices could help their profits, but they would harm our communities. Counties will be left holding the bag. All that money was wasted on tax subsidies. The money should be used to clean up the mess bad actors like Enviva leave behind them.

State regulators must boost monitoring and focus on the well-being of communities. Take Gloster, Mississippi for example. The state permitting board will likely approve a Drax expansion. Drax will then log and pollute even more. The company is a major Enviva competitor and also their customer. Drax has a dismal record of violating state environmental regulations. They have broken those rules more than 11,000 times. Community health has suffered as a result.

We must stay alert to protect our communities, climate, and forests. We need to stop destroying forests and promoting false solutions like biomass. Instead, we must protect and restore our forests. This will help us build a regenerative economy. One that works for people, communities, and nature.